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HomeMy WebLinkAbout05-09-2005 CITY OF MOUNDS VIEW ECONOMIC DEVELOPMENT AUTHORITY MEETING AGENDA Monday, May 9, 2005 6:00 PM 1. CALL TO ORDER 2. ROLL CALL: President Marty, Vice President Stigney, Commissioner Flaherty, Commissioner Gunn, Commissioner Thomas 3. APPROVAL OF AGENDA 4. PUBLIC INPUT: Citizens may speak to issues not on tonight’s agenda. Before speaking, please give your full name and address for the minutes. Also, please limit your comments to three minutes. 5. APPROVAL OF MINUTES: A. April 25, 2005 EDA Minutes 6. CONSENT AGENDA 7. EDA BUSINESS A. 6:05pm Continuation of the April 25, 2005 Public Hearing for the purpose of considering the proposed sale of land comprising The Bridges in the City of Mounds View to Medtronic, Inc. 8. REPORTS 9. NEXT EDA MEETING: Monday, May 23, 2005 @ 630pm 10. ADJOURNMENT PROCEEDINGS OF THE MOUNDS VIEW EDA 1 CITY OF MOUNDS VIEW 2 RAMSEY COUNTY, MINNESOTA 3 4 Regular Meeting 5 April 25, 2005 6 Mounds View City Hall 7 2401 Highway 10, Mounds View, MN 55112 8 6:00 P.M. 9 10 11 1. CALL MEETING TO ORDER 12 13 2. ROLL CALL: Gunn, Flaherty, Marty and Thomas 14 15 NOT PRESENT: Stigney. 16 17 3. APPROVAL OF AGENDA 18 19 MOTION/SECOND: Flaherty/Gunn. To Approve the April 25, 2005 Agenda as presented. 20 21 Ayes – 4 Nays – 0 Motion carried. 22 23 4. PUBLIC INPUT 24 25 Dwayne McCarty, 8060 Long Lake Road, referenced the Consent Agenda, Item A, the Closed 26 Executive Session scheduled for this evening to discuss the potential sale of the golf course 27 property and asked if anyone else, besides the City Council, would be in attendance. He asked if 28 anyone, such as a potential buyer, would be present and whether this is a meeting to determine 29 the asking price or to actually negotiate the sale of the property. 30 31 President Marty acknowledged Mr. McCarty’s concerns and clarified that the intent of the 32 meeting is for City Council discussion. He assured Mr. McCarty that no potential buyers would 33 be present at the closed Executive Session meeting. 34 35 5. APPROVAL OF MINUTES 36 37 A. EDA Minutes March 28, 2005 38 39 MOTION/SECOND: Thomas/Flaherty. To Approve the Minutes of March 28, 2005 as 40 presented. 41 42 Ayes – 4 Nays – 0 Motion carried. 43 44 Mounds View EDA April 25, 2005 Regular Meeting Page 2 B. EDA Minutes April 11, 2005 45 46 Commissioner Gunn stated that on page 1, line 26, a word missing the letter ‘e’. It should read 47 ‘Dave Jahnke asked if they would ‘be’ able to ask questions…’ 48 49 President Marty noted that he did not attend the April 11th meeting but did review the tape. He 50 clarified that Mary Burg spoke before the public hearing was closed and her comments were not 51 reflected in the minutes. He stated that Ms. Burg’s name is misspelled throughout the minutes 52 and should be changed from ‘Berg’ to ‘Burg’. 53 54 MOTION/SECOND: Thomas/Flaherty. To Approve the April 11, 2005 Minutes as amended. 55 56 Ayes – 3 Nays – 0 Abstain – 1 (Marty) Motion carried. 57 58 6. CONSENT AGENDA 59 60 A. Schedule an Executive Session immediately following the April 25, 2005 City 61 Council Meeting to discuss and consider the sale of real property commonly 62 known as The Bridges Golf Course, and a buyout offer of the billboard signs 63 (Verbal Report). 64 65 MOTION/SECOND: Gunn/Thomas. To Approve the Consent Agenda as presented. 66 67 Ayes – 4 Nays – 0 Motion carried. 68 69 7. EDA BUSINESS 70 71 A. 6:05 pm. Continuation of the April 25, 2005 Public Hearing for the purpose 72 of considering the proposed sale of land comprising The Bridges in the City 73 of Mounds View to Medtronic, Inc. 74 75 President Marty stated that this is primarily an informational session to answer questions that 76 came out of the last EDA meeting. He asked the public to limit their comments to three minutes 77 each noting that the meeting has been extended 7:45 p.m. because of the time constraints they 78 experienced at the last meeting. He stated that this public hearing would be continued at the next 79 EDA meeting and would be before City Council on Monday, May 9, 2005. He stated that he has 80 had discussions with City Clerk/Administrator Ulrich and based on these discussions an 81 additional, open EDA meeting would be scheduled, at a later date so that they would not have 82 any time constraints due to the City Council meeting. 83 84 City Clerk/Administrator Ulrich explained that Staff and Council have reviewed the questions 85 and compiled answers that would be reviewed this evening. He stated that Ehlers and Associates 86 Mounds View EDA April 25, 2005 Regular Meeting Page 3 are present this evening to provide the Commission and public with an overview of the golf 87 course numbers, how much money is generated through the billboards and its future financial 88 value to the City. He clarified that this meeting is to review the golf course numbers noting that 89 numbers associated with the Medtronic project would become public and discussed at a future 90 EDA meeting. 91 92 City Clerk/Administrator Ulrich reviewed the following questions and provided clarification and 93 answers: 94 95 • Question: Clarify the percentage of taxable properties in tax increment districts. 96 o Answer: Currently 16.9% for 2005 and 21.53% in 2004. 97 • Question: How much do TIF districts gain when it goes into tax increment? 98 o Answer: City Clerk/Administrator Ulrich explained that it does not go directly to the 99 General Funds in support of the community. He stated that last year $1.8 million was 100 tax increment\tax capacity and the prior year was $7.5 million. He stated that Tax 101 Increment District 1, which covers the southeast area of the City and the Industrial 102 Park area, expires in 2013, District 2 expires in 2015 and District 3 expires in 2014. 103 • Question: What are the percentages if the Medtronic project numbers are added to the 104 proposed development. 105 o Answer: City Clerk/Administrator Ulrich stated that Medtronic would be 24.5%. He 106 stated that no decisions have been made with respect construction costs noting that 107 the tax increment would be subjected to a tax. 108 • Question: Where do they rank in terms of the highest percentage and TIF? 109 o Answer: City Clerk/Administrator Ulrich stated that the City of Mounds View is 110 ranked 11th in the State for TIF noting that in terms of percentages the City was 111 ranked 1st for 2005. 112 • City Clerk/Administrator Ulrich clarified that the Bridge is part of TIF District 3. He 113 indicated that Legislation has a proposal that would expand the districts to four or five for 114 the construction of Phase 1 of the Medtronic project. He explained that subsequent 115 phases would require City approval. He indicated that 72-acres and 40-acres would be 116 deeded to the City with the provision that the land would be used for public purpose. He 117 stated that Legislation would remove the requirement to allow sale of the property. 118 • Legislation Update: City Clerk/Administrator Ulrich explained that the Capital Bonding 119 Bill is necessary for the improvements required for County Road J, the Interchange and 120 Airport Road. He noted that the monies for the project are included in the current Capital 121 Bonding Bill, if the project goes through. 122 • Question: Is it possible for property to be developed without tax increment. 123 o Answer: City Clerk/Administrator Ulrich confirmed stating that they are currently 124 reviewing several options that could be used to pay for the development without the 125 tax increments. He stated that it is expensive but not prohibitive to do the project 126 without tax increment funding. He stated that it would cost approximately $400,000 127 to bring water and utilities to the site noting that Medtronic would pick up the costs 128 Mounds View EDA April 25, 2005 Regular Meeting Page 4 within the site. 129 • Question: What are the sources of funding? 130 o City Clerk/Administrator Ulrich indicated that the likely sources for funding would 131 include the current tax increment pool; tax increments generated by the site in terms 132 of fees; and capital funds from the Enterprise Funds. He stated that there would not 133 be any interruptions to the businesses located along County Road J during the 134 construction. He stated that the Franchise fee, which is estimated to be $80,000, is 135 approved annually by the City Council adding that there is no guarantee that it would 136 continue for the 25-year timeframe. 137 • Question: Costs to provide Police and Fire services to the property. 138 o Answer: City Clerk/Administrator Ulrich stated that in reviewing the spreadsheets 139 the initial costs to provide service would be approximately $30,000 with an additional 140 $50,000 in administrative costs, over time, to service approximately 3000 employees. 141 He noted that Medtronic has an onsite security force, which would help reduce costs. 142 143 • Question: How much has been spent so far exploring and researching this project. 144 o Answer: City Clerk/Administrator Ulrich stated that the City has spent $21,000. He 145 stated that 60-percent of the cost relates to the development of the project and land 146 surveys and 40-percent is specifically for Medtronic to run the numbers for the 147 project. 148 • Question: What is the status on the Billboards? 149 o City Clerk/Administrator Ulrich stated that they are currently in negotiation for the 150 best deal for the City in terms of the least cost. He noted that of the 72 acres from 151 MnDOT, 40 acres is currently transferable and they have title for the land. He stated 152 that over the last couple of years the City has been reviewing options to enhance the 153 City. He stated that one of the issues has been the golf course because of the situation 154 it was in prior to the revenue it gained from the billboards. He stated that at this time, 155 in reviewing the Medtronic proposal, the City is emphasizing this. He assured the 156 Community that the City is not pursuing anything else at this time due to the ongoing 157 negotiations. 158 159 City Clerk/Administrator Ulrich stated that there has been some discussion about the possibilities 160 of Phases 2 and 3 of the Medtronic project being developing in Blaine. He noted that Medtronic 161 has indicated that it is their desire to also develop the Phase 2 and Phase 3 campuses in Mounds 162 View, as there would not be a tax increment back to the developer if developed in Blaine. He 163 stated that there would be a significant park dedication of $600,000 proposed for the project that 164 would be donated by Medtronic to the Park Dedication Fund. He indicated that $160,000 of the 165 funds would be used for the former Cisco property. He stated that the Concepts are available to 166 the public for review noting that it includes both the walking trails and the environmental park. 167 168 City Clerk/Administrator Ulrich stated that this hearing is one of several that will be held on this 169 issue. He emphasized that a decision has not yet been made. He stated that Staff is keeping the 170 Mounds View EDA April 25, 2005 Regular Meeting Page 5 best interest of the City at heart while working through the process with Medtronic. He clarified 171 that the City Council provides direction to Staff throughout the negotiation process and are a part 172 of the final decision. 173 174 City Clerk/Administrator Ulrich stated that the City first learned of this development in July 175 2004 when the City was first approached with the proposal. He stated that Medtronic indicated 176 that they found serious problems with the development of the site in New Brighton two to three 177 months before approaching the City of Mounds View. He stated that he does not know if 178 negotiations are occurring at other sites. 179 180 Jerry Linke, Former Mayor, asked how much staff time has been devoted to this project. City 181 Clerk/Administrator Ulrich stated that over the last month staff has devoted approximately 1400 182 hours noting that Director Ericson has devoted a significant amount of time to the project but the 183 majority of hours involved a variety of staff members. 184 185 City Clerk/Administrator Ulrich stated that the plan is to review the golf course numbers, get 186 feedback from the Community; and determine the current situation. He stated that once they 187 know all of the development numbers and can compare, an analysis would be done. He stated 188 that the results of the analysis would be discussed at future meetings. 189 190 Stacy Kilvang, Ehlers and Associates, provided the Commission and Community with a brief 191 background, history and update on the financing of the golf course. She stated that they have 192 designated as an Enterprise Fund that would be self-sustaining with the hopes of bringing cash 193 and dollars back to the City funds. She stated that there is a need to be realistic and conservative 194 when forecasting the budget in addition to knowing and understanding the market. She stated 195 that, as a City, they should try to determine where the golfers are coming from and also 196 determine how to stay competitive. She noted that golf is a weather dependent sport and the best 197 dates are May through August. She stated that the golf course opened in 1995, financed with 198 revenue bonds. She explained that it was found that the revenue generated was only covering 199 operating costs and was not sufficient enough to also pay off the debt. She stated that in 2002 200 and again in 2004 a billboard was negotiated with Clear Channel to help offset the debt. She 201 stated that in 2002 the City began to offer an interfund loan, which will be in effect from 2002 to 202 2012, to help cover the operating losses. She explained that an interfund loan does increase 203 annually noting that the intent, in theory, is to have the City interfund loan paid in full by 2018. 204 She provided the Commission with a historical overview of the gross revenues from 1995 205 through 2004 noting that they are seeing a trend, from 2002 to 2004, showing an increase in the 206 revenues. She indicated that it is falling short by a little noting that that the billboard and the 207 interfund loan are what is making the City flush. She noted that the loan was large in 2002/2003 208 stating that it would decrease annually until it is finally paid back in 2018. She stated that the 209 most realistic projects come from reviewing the bottom line best-case scenario noting that they 210 are currently reviewing 2019 and 2033 and again at the end of the 25-year term. She indicated 211 that they have retained earnings each year noting that this is a cash balance brought forward that 212 Mounds View EDA April 25, 2005 Regular Meeting Page 6 must be kept in a reserve account until paid. She provided the Commission with an overview of 213 the operating revenue and expenses noting that they are under budget by approximately 214 $3500.00. She stated that one item not accounted for or considered is the major capital 215 improvements that would be needed over time. She explained that City Council would have to 216 make decisions on the financing for these improvements as they come up in the future. She 217 stated that at the end of the term, 2033, it shows a projected $6.4 million would be retained in 218 earnings. She stated that while weighing the pros and cons of the future they have discussed 219 what would happen to the property when it goes from an exempt status to a taxable status noting 220 that the County Assessor would be required to obtain a current market value of the property. She 221 stated that the base value breakdown, tax generated back to city, shows a base property value 222 $7.2 million. She explained that this value comes from Ramsey County records and provided the 223 Commission with an overview of the total base tax generated and the breakdown to the City 224 General Fund, School Funds and Other Tax Jurisdictions. 225 226 President Marty opened the public hearing at 6:42 p.m. 227 228 President Marty stated that the Commission would try to answer questions tonight, if not, 229 answers would be provided at the next meeting. 230 231 Jerry Linke stated that for someone to say that he is anti-business and anti-development is far 232 from wrong. He commended City Clerk/Administrator Ulrich for the good job on his 233 clarifications and asked for a copy of his report. He acknowledged that the City has a very tough 234 decision to make noting that currently they have nothing to go on to make that decision. He 235 urged the Commission to review other Communities to see how they have addressed these 236 concerns. He stated that the City of Fridley did an Economic Feasibility Study to determine the 237 benefits of having Medtronic in their area and found there were no benefits for the Community. 238 He asked why they are placing TIF on a company that has more money in their slush fund than 239 the City does for it’s own operating expenses. He noted that the current TIF districts are all for a 240 fifteen year timeframe because most buildings would require remodeling at the end of a fifteen 241 year period. He referenced the billboards and proposals and asked if there is a way that the 242 Community could find out the proposed numbers being discussed. He referenced the statement 243 that Blaine would not give Medtronic TIF for Phases 2 and 3 and asked if the $167,000 is what is 244 generated for a year in taxes or does this occur later. 245 246 City Clerk/Administrator Ulrich explained that the numbers are based on the base value of the 247 land being frozen from tax exempt to taxable property. He stated that it would net the City 248 approximately $167,000. 249 250 Barbara Haake, 3024 County Road I, thanked the Commission and Ehlers Associates for the 251 opening presentation. She stated that she appreciates hearing the facts and figures noting that she 252 is currently neutral on the issue. She stated that she is waiting to get all the facts before making a 253 full statement about the project and acknowledged receiving emails from Sherry and Roger. She 254 Mounds View EDA April 25, 2005 Regular Meeting Page 7 referenced Fridley noting that it was eluded to that the Assessor wanted to assess Medtronic $132 255 per square foot, so Medtronic went to Anoka County, who offered an assessment of $109 per 256 square foot. She stated that it is her understanding that Medtronic wants an assessment of $80 257 per square foot and capped. She asked if this would be included as part of the negotiating notice. 258 She asked what happened to the 10-percent Park Dedication Fee and would the 10-percent be 259 paid in land or cash. She asked if the $167,000 would be used to place trails around Cisco and 260 would the trails be open to the public for use. 261 262 Aaron Ojard, 11361 North 6th Drive, stated that he has been serving in the Navy for ten years 263 now noting that he learned to play golf as a young boy at the Bridges. He stated that the 264 discussions should also include the tangibles that Medtronic can’t offer, which is the ability to 265 offer families time together. He noted the talk that the market is saturated in this area with 266 respect to Par 3 courses in this area and asked the Commission what course he could take his son 267 to where he would not be harassed for playing too slow. He stated that The Bridges is a family-268 oriented course and encouraged the Commission to keep family activities in mind when making 269 their decision. 270 271 Duane McCarty, 61 Lake Road, noted that it appears the City is doing a considerable amount of 272 number crunching after decisions have already been made. He referenced the numbers and 273 estimates noting that he has done a bit of his own research. He stated that according to the last 274 report issued by the League of Minnesota Cities, the City of Mounds View’s TIF history, as it 275 compares to other Cities, has been very high. He stated that in the latest report, 2003, it shows 276 that the City is still staying in the upper numbers as far as tax capacity tied up in TIF. He asked 277 what the golf course’s worth would be in terms of a recreational facility and as a quality of life 278 issue. He stated that it is his assumption that the revenue from the billboards would get the golf 279 course into a position of self support noting that the Commission should also consider what 280 would happen with Silverview Park if the billboards don’t bring in enough revenue to cover the 281 maintenance. He stated that if the City can reasonably retain the golf course he urged the 282 Commission and City to do it. 283 284 Peter Martin, 21902 Parkwood Drive stated that he has been playing competitive golf in the PGA 285 circuit for many years noting that as he plays competitive golf around the State people do ask 286 where The Bridges course is located. He congratulated them stating that they have a wonderful 287 golf course that they have managed to find a way for it to be economically viable. He stated that 288 this is a golf course where seniors can play juniors, men and women together and young children 289 can learn the sport of golf. He expressed his agreement with Mr. Ojard that the children are the 290 future for golf and the Community. He stated that this is the best and highest use of the land and 291 urged the Commission to keep that way. 292 293 Tom McKay, 2625 Hilde Road, stated that the golf course was primarily built as a community 294 course noting that the City is now trying to extract a profit from tax dollars. He stated that he 295 does not agree with this process noting that the golf course creates jobs for the community 296 Mounds View EDA April 25, 2005 Regular Meeting Page 8 whereas Medtronic would employ the same people regardless of their location. 297 Dave Mitchell, 5493 Quincy Street, stated that he has lived in this area all of his life and likes 298 where The Bridges is located. He stated that it is not a Par 3 course but is one of the longer 299 courses in the metro area. He stated that he enjoys The Bridges due to the length of the course. 300 He acknowledged that the project would bring some revenue to the City adding that it would also 301 bring an increase in traffic. He expressed concerns about the amount of traffic this project could 302 generate noting that for a company of this size, there a many nice locations along the highway 303 that are already vacant and available for purchase. He expressed frustrations stating that it was 304 his thought that the City wanted green space and it appears that with this project they are now 305 getting rid of it. He encouraged the Commissioners to consider the value of open space adding 306 that he does not see this project creating any jobs specifically for Mounds View. He stated that 307 the park Medtronic proposes to develop appears to be for their employees and asked if the public 308 would be able to take advantage of the park too. He stated that access to the proposed park 309 would be difficult and encouraged the Commission to keep the golf course. He stated that he 310 couldn’t see giving away the store to one of the wealthiest companies in the country. 311 312 Shannon Meyer, 11363 ?? Lane, President of the Twin Cities Local Chamber of Commerce, 313 stated that the facts show that golf courses provide a quality of life not found anywhere else. She 314 stated that the State of Minnesota has one of highest number of golf courses, per capita, in the 315 nation noting that the supply of golf courses has been outpacing the demand for play and this 316 trend is expected to continue. She explained that the Twin Cities North Chamber collected 317 information on the courses in the north metro and found, over a five-year period, that the number 318 of rounds played has declined by 19.5-percent, on average. She noted that The Bridges is 50% 319 more, on an average; over the other courses adding that part of the information shows that 27-320 percent of the golfers come from Mounds View. She stated that there are enough golf courses 321 throughout the metro area that address all golfing needs noting that the National Sports Center 322 recently built a youth golf course and experienced a total of 7800 participants last year, with 67-323 percent of that total being youth golfers. She provided the Commission with a brief overview of 324 the curriculum. 325 326 Dick Timmer stated that his daughter, Katie Timmer, is a special Olympian. He stated that his 327 daughter, along with friend Mike Madden of St. Anthony Village, have found a true home at The 328 Bridges. He stated that the golfing community at the Bridges has been very good to both Katie 329 and Mike noting that they are both State Champions in the State’s Top Division. He explained 330 that they have both practiced at The Bridges for the past four years noting that some things are 331 priceless and it is his belief that The Bridges is one of those things. He urged the Commission to 332 keep the golf course noting that the environment has always been a very welcoming to them. 333 334 Katie Timmer stated that she The Bridges is a huge part of her life and relationship for her and 335 her father. She stated that there is a really great guy at The Bridges that always makes if fun for 336 her to golf and practice. She stated that golf is a good, but difficult sport adding that she does not 337 want to see The Bridges leave because she loves to golf. 338 Mounds View EDA April 25, 2005 Regular Meeting Page 9 Bruce Foley, 662 Village Parkway, Circle Pines, stated that the Blaine golf course is fabulous but 339 doesn’t compare to The Bridges. He explained that what makes The Bridges so special is the 340 combination of the executive nature of the course and the family-oriented golf experience one 341 can get with their children by walking the course. He urged the Commission to keep family in 342 mind when making decisions regarding this course. 343 344 Wendy Marty 2626 Louisa Ave, Mounds View, stated that golf provides an individual an 345 opportunity to learn many qualities including honesty, integrity, etiquette, sportsmanship, respect, 346 confidence, responsibility, perseverance, courtesy and judgment. She stated that a study was 347 done that shows 50-percent of all children, after participating in a golf program, tend to show a 348 higher level of confidence. She urged the Commission to keep this in mind when making their 349 decision. 350 351 Jeff Burnham, 5180 North Lexington, stated that he takes his grandchildren golfing on a regular 352 basis. He stated that he took his grandson to the Blaine course last year and found that it was a 353 very difficult course for children to walk. He expressed his disappointment at the rude behavior 354 displayed towards them by some of the golfers at the course while they were playing. He stated 355 that he loves the Blaine course but it is not a good spot for children. He stated that five of the Par 356 3 courses in St. Paul area suburbs have closed in the recent past noting that the choices for 357 children-friendly Par 3 courses has become very limited. 358 359 John McKusick, 8465 East River Road, asked if the City of New Brighton had decided against 360 the Medtronic project due to ground water issues and asked if the City has performed any soil 361 tests in the area and if they have, do they have the results. He stated that he has five 362 grandchildren; all of them have played at The Bridges and enjoyed the experience. He stated that 363 they have also played the Blaine course noting that the distance between holes is a considerable 364 distance for children to walk. 365 366 Valerie Amundsen, 3048 Wooddale Drive, Mounds View stated that in reviewing the proposals 367 it appears that the City is giving up a lot, including their quality of life. She expressed concerns 368 stating that this project would bring a lot of additional traffic, not to mention the increase in the 369 wear and tear on the roads. She stated that they want to give up something that means a lot to the 370 Community noting that $600,000 in Park Dedication Fees does not seem to be enough for what 371 they are giving up. 372 373 Brian Amundsen 3048 Wooddale Drive, Mounds View, asked the Commission to clarify the 374 1400 hours of work done by Staff on this project. He asked if the hours span over a six or eight 375 month period and did it involve more than one staff member. City Clerk/Administrator Ulrich 376 stated that the hours span over an eight-month period of time and involved several staff 377 members. 378 379 Mr. Amundsen noted that the proposed timeline suggests a September start time and asked how 380 Mounds View EDA April 25, 2005 Regular Meeting Page 10 many more times this issue would be open to the Residents for discussion with the EDA and City 381 Council. He asked if the actual timeline for the project was available for public review. He 382 noted that it is his assumption that the EDA and City Council would have to approve the sale of 383 public property or assets, which would include additional hearings. He asked if the timing for 384 notification to the public and scheduling of the public hearings has been determined. He asked if 385 there are any conditions, under the current charter, that allows the public to begin initiatives to 386 keep the golf course or park, as allowed under Chapter 8. He asked if City Council would be 387 faced with trying to locate new property to build a golf course and what is the plan for increasing 388 the size of Red Oaks Road. 389 390 Daniel Hall, 12860 Beaver Street, Blaine, stated that he believes the only reason Medtronic 391 approached Mounds View is because of the street leading straight up to the golf course. He 392 asked if Medtronic approached the City or if the City had approached Medtronic. President 393 Marty stated that Medtronic approached the City with their proposal. 394 395 Mr. Hall stated that businesses like his; located around Medtronic; do get spin-off business from 396 Medtronic. He stated that there is a trickle down of dollars spent in the Community by 397 Medtronic employees noting that he has nothing against the golf course except for the fact that it 398 has been subsidized by programs and is still losing money. He stated that it is prudent for the 399 City to review realistic scenarios and the costs for the City noting that stewardship of the City 400 should be to determine how they City could best serve the Community. He stated that as far as 401 Medtronic and the TIF dollars, 99-percent of the TIF dollars are given to TIF districts by 402 businesses in order to entice other businesses to come into the area. He stated that as a 403 businessperson, he is supportive of Medtronic coming to Mounds View and it is up to the City to 404 determine where the dollars should go. 405 406 President Marty clarified that funds have never been taken from the General Fund to subsidize 407 the golf course and it has nothing to do with the pensions. 408 409 ?? asked who would be responsible for the costs to mitigate the land in the golf course, the City 410 or Medtronic? City Clerk/Administrator Ulrich stated that Medtronic would be responsible for 411 the mitigation of the wetlands on the property adding that this is part of the eligibility 412 requirement. 413 414 Jim Manthis, 9664 Juniper Street Northwest, Coon Rapids, stated that he is interested in 415 preserving The Bridges Golf Course noting that golf has always been a part of his life. He stated 416 that this is his 40th year in the golf business and has served on the National PGA Board of 417 Directors and knows the benefits of golf for everyone. He stated that when he describes the type 418 of facility The Bridges is to friends they are impressed by what they hear and it creates their 419 interest for one in their Community. He stated that he would support the Medtronic project if 420 someone could prove to him that this is an overwhelmingly good deal for the City but at this 421 point, he has yet to see the benefits and will continue to fight for The Bridges. 422 Mounds View EDA April 25, 2005 Regular Meeting Page 11 423 Tim Mazzoni, 1520 23rd Avenue Northwest, New Brighton, stated that he speaks as an advocate 424 for children and youth. He referenced the National Youth Center course and expressed concerns 425 and suggested that the Commission walk the youth center course and ask themselves is the 426 course truly designed for youth, as they state, or is it designed more for use by High School Golf 427 teams. He asked the Commission to consult an SRI Study done in 2002 noting that there is a 428 case that golf works, youth in golf works and the program at The Bridges works well for a lot of 429 children. He urged the Commissioners to think hard about the issues and what they have before 430 they make any decisions. 431 432 George Lambrigay, 811 Eastwood Road, stated that he is 20-years old and a product of the youth 433 program at The Bridges. He stated that he participated in their first youth program and also in 434 the high school programs. He stated that it was explained to him that when he entered the voting 435 process it was the way for him to choose the people he wanted to be his voice. He stated that 436 they are running a City, not a business and asked them not to lose such a precious asset to the 437 City. 438 439 John Ewing 10953 Xylite Park Lane stated that he treasures The Bridges. He stated that it is his 440 understanding that a deal has already been made to get the golf course paid for and asked 441 shouldn’t a deal be a deal. He stated that the City of Mounds View has given the Community a 442 beautiful golf course that provides people with the opportunity to enjoy the amenities and meet 443 new people, which is a precious experience that cannot be taken away from anyone. He stated 444 that if a deal has been made they should stay with it noting that they are on the right track with 445 Clear Channel. 446 447 Ray Ramirez, 2273 Irondale Rd, asked if a survey regarding the golf course would be distributed 448 to the residents in Mounds View. He stated that he is in favor of the golf course and expressed 449 concerns that many of the people speaking in support of the golf course tonight are from other 450 areas. He stated that he would like the residents of Mounds View to have the opportunity to 451 discuss the issues further and agreed that it is a beautiful sport for children. 452 453 Duane McCarty, 8060 Long Lake Road stated that it would be helpful if the City offered the 454 Community more information. He stated that they do not have to mitigate the wetlands in 455 Mounds View as it can be mitigated in any Watershed district they want to as long as they meet 456 the mitigation requirements. He referenced the survey stating that one has already been done by 457 Decision Resources and in the survey, it is the same number of people who said ‘sell’ that are the 458 same who also say ‘if it isn’t costing, keep it’. He stated that he would like to see a solid number 459 from Ehlers and Associates that projects the value of the golf course, along side comparisons of 460 what would happen if the land were TIF’d and the actual value of the land. He asked if they are 461 jumping too soon to divest themselves of this asset noting that land is going up in valued and 462 would continue to escalate in value. He stated that he would like to know what the professionals 463 would say the value of the land would be by the time the golf course has paid off its’ obligations 464 Mounds View EDA April 25, 2005 Regular Meeting Page 12 and also at what point do they think the citizens would question what was decided here. 465 466 Cindy Weinberger, 2322 119th Circle, Blaine, stated that she is employed with The Mermaid. 467 She stated that she has heard so much about the positive effects for the youth in this community 468 and the benefits gained by the golf course and asked how much of the taxes generated at the golf 469 course go back to benefit the schools and how much money would Medtronic put back into the 470 schools. She stated that in her opinion education in the schools is much more valuable than any 471 sport. 472 473 Mr. Linke stated that currently it is non–taxable and none of the money would go back to the 474 School District. He stated that the schools would not receive any funds if it goes to TIF for a 475 twenty-five year period either. Ms. Kvilvang, Ehlers, clarified that this is not entirely true noting 476 that as discussed, the property is tax-exempt. She stated that with respect to the schools, there 477 are referendums out there and if Medtronic were built they would be paying on the tax rates from 478 the referendums. 479 480 President Marty closed the public hearing at 7:40 p.m. 481 482 President Marty stated that this public hearing would be continued at the May 9, 2005 EDA 483 meeting. 484 485 MOTION/SECOND: Gunn/Thomas. To Approve the motion to continue this discussion to the 486 May 9, 2005 EDA meeting. 487 488 Ayes –4 Nays – 0 Motion carried. 489 490 8. REPORTS 491 492 None. 493 494 9. NEXT EDA MEETING: Monday, May 9, 2005 at 6:00 p.m. 495 496 10. ADJOURNMENT 497 498 President Marty adjourned the meeting at 7:45 p.m. 499 500 Respectfully submitted, 501 502 Recorded and transcribed by: 503 Bonnie Sullivan 504 TimeSaver Off Site Secretarial, Inc. 505